O'Connor First
Serving All OfNew York And Vermont
877-886-4029 Toll Free
518-465-0400 New York

Avoid these common credit card mistakes for a better financial future

U.S. credit-card balances are expected to surpass $1 trillion this year. According to an article in the Wall Street Journal, improving economic conditions have contributed to consumers' increased comfort level with credit card balances. Is that such a great idea? Consumers could be making money mistakes that have a devastating impact on their financial future. Here are a few of the most common mistakes and ways in which you can avoid them.

Paying your credit cards late

Late payments can have a significant negative impact on your credit score. For credit score purposes, late payments are considered to be anything greater than 30 days late. Even one late payment can be detrimental. In addition to hurting your credit score, you may also be subject to additional fees and increased interest rates.

Paying only the minimum balance

Paying only the minimum balance on your credit card balance not only increases the amount of time to pay back your original credit card balance, but also, it can also significantly increase the amount you pay. Credit card companies are now required to report on your statement the amount of time it will take to repay the entire balance on your card by only making minimum payments. It is important to note that this tactic works under the presumption that you do not make any future charges.

Taking a cash advance on your credit card

Taking out a cash advance on your credit card typically subjects you to a higher interest rate than that applied to regular credit charges. Also, interest on cash advances is typically accrued regardless of whether you pay your balance in full each month.

Not paying your balance in full each month

If you chose to use credit cards as your preferred method of making purchases, you should do your best to pay the entire balance owed each month. The interest rates on credit cards tend to be significantly higher than other types of loans.

It's not always easy paying the bills. As you work to secure a stronger financial future, please avoid some of these common credit card mistakes.

No Comments

Leave a comment
Comment Information
Email Us For a Response

Speak To An Experienced Attorney.

High-Quality Representation At An Affordable Price. Contact Us Today.

Learn more about how we can help you by calling the firm at 877-886-4029.

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

This site uses Google's Invisible reCAPTCHA, which is subject to Google's Privacy Policy and Terms of Use.

  • dri | The Voice of the Defense Bar
  • BEST'S Client Recommended 2019 | Insurance Attorneys
  • AV Preeminent
  • Bar Register Preeminent Lawyers
  • Lawyer of the Year
  • IADC
  • MPL
  • Best Lawyers
  • FDCC
  • Peer Rated
  • Plus
  • New York State Academy of Trial Lawyers
  • Lawyer of the Year
  • TIDA
  • Best Lawyers | Best Law Firms | US News |2019

NEW YORK OFFICE
20 Corporate Woods Boulevard
Albany, NY 12211

Toll Free: 877-886-4029
Phone: 518-465-0400
Fax: 518-465-0015
Albany Law Office Map

VERMONT OFFICE
507 Main Street
Bennington, VT 05201

Toll Free: 877-886-4029
Fax: 518-465-0015
Map & Directions